It seems there’s trouble in paradise.
The owner of a Holmes Beach waterfront motel has come under fire by the city of Holmes Beach in a lawsuit alleging unpermitted renovations.
In filings May 22, the city claimed five counts of building violations by the Bali Hai Beachfront Resort and Spa, 6900 Gulf Drive.
The city alleges the resort conducted unpermitted work on the beachfront property, which includes two two-story buildings housing hotel/motel accommodations, a smaller two-story building and a single-story pool house.
The city’s building official and code enforcement supervisor visited the property in January and say they saw work being done on the second floor of the small building without a permit, “rendering it unsafe.”
The fire marshal ordered the occupants to “cease, desist and vacate the premises” and March 2 a stop-work order was posted at the property.
Code enforcement issued two notices of violation due to the renovations and an apparent change in use that needed a major site plan review.
In April, city officers found the second floor “occupied as an office in violation of the fire marshal’s order and without having first secured a certificate of completion.”
The city contends the resort failed to obtain permits for construction, alteration and demolition, lacked a certificate of completion and also violated a stop-work order and neglected to get a site plan review to change the use of a multipurpose room to a bar/lounge.
The city cited the Florida building code, which states that after notice from a building official, “work on any building, structure, electrical, gas, mechanical or plumbing system that is being done contrary to the provisions of the code in a dangerous or unsafe manner, shall immediately cease.”
The city is seeking an order preventing Bali Hai from activities in violation of the stop-work order, enforcing compliance with state and city codes, correcting violations and blocking occupancy until the building units in contention are fully compliant.
Holmes Beach Mayor Judy Titsworth said unpermitted construction and renovations could impact “life and safety.”
The defendants, in a June 22 filing, asked for more time to respond to the city complaint, to which the city objected June 29.
The city filed for an emergency injunction July 31.
Louis Najmy, attorney for owner Shawn Kaleta, said Aug. 14 that he hopes to resolve the issues.
“It should be noted that Mr. Kaleta applied for and received permits for the major renovations at the Bali Hai,” Najmy wrote to The Islander.
He also noted Kaleta has invested more than $25 million in the property.
“This case developed because we initially disagreed that a subsequent site plan approval was required for a smaller piece of the permitted renovation,” Najmy said.
Najmy said Kaleta has accepted the city’s request and submitted a site plan application as a supplement to his existing major building permit.
“Such application is in the review process at the city now,” Najmy wrote. “We expect to have things worked out very soon, as we hope the city is pleased with the high-quality update to its largest and one of its oldest hotels without any change to the overall primary use.”
Judge Edward Nicholas recused himself from the assigned case Aug. 3 because, according to his legal assistant, Marianne Makar, “he knows the owners.”
The Bali Hai also has initiated a lawsuit. Last November, Bali Hai LLC sought injunctive relief saying the West Manatee Fire Rescue District erroneously applied the Florida Fire Prevention Code, halted completion, stopped the permitting process and shut down its construction project.
After the city issued a building permit in August 2019, WMFR sent a letter requiring the installation of automatic sprinkler systems, “adding many months and significant additional costs,” according to the Bali Hai complaint.
After some back and forth in court, the parties in December 2019 reached a “mutual agreement” and the case was withdrawn.
The Bali Hai’s website describes its accommodations as “gorgeously appointed” rooms and suites on 2 acres of “lushly manicured tropical grounds” on 300 feet of beachfront on the Gulf of Mexico.
The LLC headed by Kaleta acquired the property Feb. 15, 2019.
The city suit against the resort was reassigned to Judge Charles Sniffen and a teleconference was scheduled for Aug. 21.